Skip to main content

Advertisement

Log in

Antecedents and constituents of alliance management capability: the role of valuable alliance experience and governance mechanisms for learning

  • Published:
Journal of Management & Governance Aims and scope Submit manuscript

Abstract

We study the process of alliance management capability building, examining what type of alliance experience matters most for its development and the impact of suitable governance mechanisms. Having identified the constituent skills of alliance management capability, we argue that (1) only certain types of alliances can be considered valuable for generating and developing such firm-level capability, enabling firms to successfully manage interorganizational collaborations, and (2) specific governance mechanisms may help to leverage alliance management knowledge from previous partnerships. In our theoretical framework, only experience accruing from firm’s embedded alliances can generate the necessary constituent skills. Moreover, in order to affect the capability building process, such experience needs to be heterogeneous in terms of alliance contents, governance forms and partners. Finally, we assume a stronger effect of alliance experience when leveraged through the use of specific governance mechanisms. We conducted a single-case study analysis in order to test the theory in encounters with concrete experience.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Fig. 1

Similar content being viewed by others

Notes

  1. Others refer to this capability as collaborative know-how (Simonin 1997) or alliance capability (Anand and Khanna 2000).

  2. Following Schreiner et al. (2009), we focus on the skills required to manage and coordinate an individual alliance during the post-formation phase favorably and successfully.

  3. Capaldo (2007) measures the frequency of collaboration as the number of individual years in which the partnering firms had actually collaborated on joint activities during the relationship’s overall duration and stresses the role it plays in strengthening interpersonal relations, thus enhancing the social dimension of the tie. In our analysis, frequency refers to the number of meetings between allied partners’ members and is mainly considered for its role in enhancing information-sharing between the allied companies.

References

  • Anand, B., & Khanna, T. (2000). Do firms learn to create value? The case of alliances. Strategic Management Journal, 21(3), 295–315.

    Article  Google Scholar 

  • Bogenrieder, I., & Nooteboom, B. (2004). Learning groups: What types are there? A theoretical analysis and an empirical study in a consultancy firm. Organization Studies, 25(2), 287–313.

    Article  Google Scholar 

  • Boisot, M. H. (1998). Knowledge assets. Securing competitive advantage in the information economy. Oxford: Oxford University Press.

    Google Scholar 

  • Capaldo, A. (2007). Network structure and innovation: The leveraging of a dual network as a distinctive relational capability. Strategic Management Journal, 28(6), 585–608.

    Article  Google Scholar 

  • Creplét, F., & Dupouët, O. (2007). Articulating governance mechanisms for collective learning. In Proceedings of the fifteenth European conference on information systems.

  • Draulans, J., deMan, A., & Volberda, H. W. (2003). Building alliance capability: Management techniques for superior alliance performance. Long Range Planning, 36, 151–166.

    Article  Google Scholar 

  • Eisenhardt, K. (1989). Building theories from case study research. Academy of Management Review, 14(4), 532–550.

    Google Scholar 

  • Eisenhardt, K. M., & Graebner, M. E. (2007). Theory building cases: Opportunities and challenges. Academy of Management Journal, 50(1), 25–32.

    Article  Google Scholar 

  • Gueth, A., Sims, N., & Harrison, R. (2001). Managing alliances at Lilly. In Vivo. The Business and Medicine Report, 19(6), 1–9.

    Google Scholar 

  • Gulati, R. (1998). Alliances and networks. Strategic Management Journal, 19(4), 293–317.

    Article  Google Scholar 

  • Heimeriks, K. H., & Duysters, G. (2007). Alliance capability as a mediator between experience and alliance performance: An empirical investigation into the alliance capability development process. Journal of Management Studies, 44(1), 25–49.

    Article  Google Scholar 

  • Heimeriks, K. H., & Schreiner, M. (2010). Relational quality, alliance capability, and alliance performance: An integrated framework. Advances in Applied Business Strategy, 12, 145–171.

    Article  Google Scholar 

  • Hoang, H., & Rothaermel, F. (2005). The effect of general and partner-specific alliance experience on joint R&D project performance. Academy of Management Journal, 48(2), 332–345.

    Article  Google Scholar 

  • Hoang, H., & Rothaermel, F. (2010). Leveraging internal and external experience: Exploration, exploitation, and R&D project performance. Strategic Management Journal, 31(7), 734–758.

    Google Scholar 

  • Huber, G. P. (1991). Organizational learning: The contributing processes and the literatures. Organization Science, 2(1), 88–115.

    Article  Google Scholar 

  • Ireland, R. D., Hitt, M. A., & Vaidyanath, D. (2002). Alliance management as a source of competitive advantage. Journal of Management, 28(3), 413–446.

    Article  Google Scholar 

  • Kale, P., Dyer, J. H., & Singh, H. (2001). Value creation and success in strategic alliances: Alliancing skills and the role of alliance structure and systems. European Management Journal, 19(5), 463–471.

    Article  Google Scholar 

  • Kale, P., Dyer, J. H., & Singh, H. (2002). Alliance capability, stock market response, and long term alliance success: The role of the alliance function. Strategic Management Journal, 23(8), 747–767.

    Article  Google Scholar 

  • Kale, P., & Singh, H. (1999). Alliance capability and success: A knowledge-based approach. In Academy of management proceedings, Chicago.

  • Kale, P., & Singh, H. (2007). Building firm capabilities through learning: The role of the alliance learning process in alliance capability and firm-level alliance success. Strategic Management Journal, 28, 981–1000.

    Article  Google Scholar 

  • Kale, P., Singh, H., & Perlmutter, H. (2000). Learning and protection of proprietary assets in strategic alliances: Building relational capital. Strategic Management Journal, 21, 217–237.

    Article  Google Scholar 

  • Larson, A. (1992). Network dyads in entrepreneurial setting: A study of the governance of exchange relationships. Administrative Science Quarterly, 31(1), 76–104.

    Article  Google Scholar 

  • Levinthal, D. A., & March, J. G. (1993). The myopia of learning. Strategic Management Journal, 14, 95–112.

    Article  Google Scholar 

  • Levitt, B., & March, J. (1988). Organizational learning. Annual Review of Sociology, 14, 319–340.

    Article  Google Scholar 

  • Lorenzoni, G., & Lipparini, A. (1999). The leveraging of interfirm relationships as a distinctive organizational capability: A longitudinal study. Strategic Management Journal, 20(4), 317–338.

    Article  Google Scholar 

  • Merchant, H., & Schendel, D. (2000). How do international joint ventures create shareholder value? Strategic Management Journal, 21(7), 723–737.

    Article  Google Scholar 

  • Nahapiet, J., & Ghoshal, S. (1998). Social capital, intellectual capital, and the organizational advantage. The Academy of Management Review, 23(2), 242–266.

    Google Scholar 

  • Nelson, R., & Winter, S. (1982). An evolutionary theory of economic change. Cambridge, MA: Harvard University Press.

    Google Scholar 

  • Powell, W., Koput, K., & Smith-Doerr, L. (1996). Interorganizational collaboration and the locus of innovation: Networks of learning in biotechnology. Administrative Science Quarterly, 41(1), 116–145.

    Article  Google Scholar 

  • Ridder, H. G., Hoon, C., & McCandless, A. (2009). The theoretical contribution of case study research to the field of strategy and management. In D. D. Bergh & D. J. Ketchen (Eds.), Research methodology in strategy and management (pp. 137–175). Bingley: Emerald Group Publishing Limited.

    Google Scholar 

  • Rothaermel, F. T., & Deeds, D. L. (2006). Alliance type, alliance experience and alliance management capability in high-technology ventures. Journal of Business Venturing, 21(4), 429–460.

    Article  Google Scholar 

  • Sampson, R. (2005). Experience effects and collaborative returns in R&D alliances. Strategic Management Journal, 26(11), 1009–1031.

    Article  Google Scholar 

  • Schilke, O., & Goerzen, A. (2010). Alliance management capability: An investigation of the construct and its measurement. Journal of Management, 20(10), 1–28.

    Google Scholar 

  • Schreiner, M., Kale, P., & Corsten, D. (2009). What really is alliance management capability and how does it impact alliance outcomes and success? Strategic Management Journal, 30(13), 1395–1419.

    Article  Google Scholar 

  • Shrivastava, P. (1983). A typology of organizational learning systems. Journal of Management Studies, 20(1), 7–28.

    Article  Google Scholar 

  • Simonin, B. L. (1997). The importance of collaborative know-how: An empirical test of the learning organization. Academy of Management Journal, 40(5), 1150–1174.

    Article  Google Scholar 

  • Stach, G. (2006). Business alliances at Eli Lilly: A successful innovation strategy. Strategy & Leadership, 34(5), 28–33.

    Article  Google Scholar 

  • Stake, R. E. (1995). The art of case study research. Thousand Oaks, CA: Sage.

    Google Scholar 

  • Swanborn, P. (2010). Case study research. What, why and how?. Thousand Oaks, CA: Sage.

    Google Scholar 

  • Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic Management Journal, 18(7), 509–533.

    Article  Google Scholar 

  • Uzzi, B. (1996). The sources and consequences of embeddedness for the economic performance of organizations: The network effect. American Sociological Review, 61(4), 674–679.

    Article  Google Scholar 

  • Uzzi, B. (1997). Social structure and competition in interfirm networks: The paradox of embeddedness. Administrative Science Quarterly, 42(1), 35–67.

    Article  Google Scholar 

  • Uzzi, B. (1999). Embeddedness in the making of financial capital: How social relations and networks benefit firms seeking finance. American Sociological Review, 64(4), 481–505.

    Article  Google Scholar 

  • Yin, R. K. (1981). The case study crisis: Some answers. Administrative Science Quarterly, 26(1), 58–65.

    Article  Google Scholar 

  • Yin, R. K. (2009). Case study research: Design and methods. Thousand Oaks, CA: Sage.

    Google Scholar 

  • Zollo, M., Reuer, J., & Singh, H. (2002). Interorganizational routines and performance in strategic alliances. Organization Science, 13(6), 701–713.

    Article  Google Scholar 

  • Zollo, M., & Winter, S. G. (2002). Deliberate learning and the evolution of dynamic capabilities. Organization Science, 13(3), 339–351.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Clelia Mazzoni.

Additional information

The whole research is a result of intense collaboration among the authors. In the final draft, Laura Castaldi wrote Sects. 2, 4.2 and 4.4, Claudio Turi wrote Sects. 3.3 and 4.3, Clelia Mazzoni wrote Sects. 1, 3.1 and 5, Angela Delli Paoli wrote Sects. 3.2 and 4.1.

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Castaldi, L., Turi, C., Mazzoni, C. et al. Antecedents and constituents of alliance management capability: the role of valuable alliance experience and governance mechanisms for learning. J Manag Gov 19, 797–823 (2015). https://doi.org/10.1007/s10997-014-9291-z

Download citation

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10997-014-9291-z

Keywords

Navigation